Much of the literature on Land Acquisitions have focused on the link to water, asserting that these acquisitions are intended to secure water for the investor-nation. Hall (2011: 194) states that 'China, India, South Korea and the Gulf States are among those at the forefront of this agricultural expansion, as they seek to produce food overseas for their growing populations'. These land deals are claimed to facilitate a virtual water trade, as countries try to manage their water consumption through outsourcing.
However, I came across this relatively recent study by Breu et al. (2016) which contends that in many cases, the investor countries engage in agricultural practises abroad that are less intensive than their domestic crop production. They also found that net global water use decreases when these land acquisitions are used. Conversely, the paper also notes that certain key investors, such as the US and Saudi Arabia (the only one of the Gulf states that shows this trait), are indeed 'externalising crop water consumption' through these land acquisitions. Crucially, the study found that water use intensity did increase in the host countries.
Whilst the study states that these findings suggest water is not always the key determinant behind land acquisitions, the fact that water use intensity was found to increase in the host nations still establishes the potentially negative consequences of land acquisitions. On a global scale, it may be a smart use of water resources, but on the African country scale, it does not necessarily bode well for development.
However, I came across this relatively recent study by Breu et al. (2016) which contends that in many cases, the investor countries engage in agricultural practises abroad that are less intensive than their domestic crop production. They also found that net global water use decreases when these land acquisitions are used. Conversely, the paper also notes that certain key investors, such as the US and Saudi Arabia (the only one of the Gulf states that shows this trait), are indeed 'externalising crop water consumption' through these land acquisitions. Crucially, the study found that water use intensity did increase in the host countries.
Whilst the study states that these findings suggest water is not always the key determinant behind land acquisitions, the fact that water use intensity was found to increase in the host nations still establishes the potentially negative consequences of land acquisitions. On a global scale, it may be a smart use of water resources, but on the African country scale, it does not necessarily bode well for development.
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